Eni to divest onshore assets in Nigeria for $1.3bn

Italian oil and gas company Eni has agreed to sell its wholly owned subsidiary Nigerian Agip Oil Company (NAOC) to Oando PLC, a Nigerian energy company, for $1.3bn, it announced on September 4.

The sale includes NAOC's interests in four onshore oil and gas blocks, two onshore exploration leases, and the Okpai 1 and 2 power plants. The transaction is expected to close in the second half of 2023, subject to regulatory approvals.

Eni said the sale is part of its strategy to focus on its core offshore assets in Nigeria and to divest non-core assets. The company said it will continue to operate in Nigeria through its other subsidiaries, Nigerian Agip Exploration and Agip Energy and Natural Resources.

Oando said it plans to invest in the development of NAOC's assets and to grow its oil and gas production.